MRR (Monthly Recurring Revenue) is the predictable monthly revenue from active subscriptions. It equals the number of paying subscribers multiplied by the average monthly plan price.

What is the difference between MRR and ARR?

ARR (Annual Recurring Revenue) is MRR × 12. ARR is preferred for reporting in businesses with predominantly annual plans. MRR is better for tracking month-to-month performance and growth.

Churn rate is the percentage of subscribers who cancel in a given period. A 3% monthly churn means 3% of subscribers leave each month. High churn erodes growth — a business growing 5% monthly but churning 5% barely holds its subscriber count.

LTV (Lifetime Value) is the estimated total revenue a subscriber generates before cancelling. A common SaaS formula: LTV = ARPU / monthly churn rate. For example, ARPU of PKR 2,000 and 3% churn gives LTV = PKR 66,667.

What is a good monthly churn rate for a SaaS business?

Monthly churn below 2% is generally considered healthy for B2B SaaS; below 5% is acceptable for B2C. Annual churn above 10% typically signals product-market fit, pricing, or onboarding issues that need addressing.

MRR & ARR Calculator — Free Subscription Revenue Projector

DevTool House

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MRR calculator

About Subscription Revenue Calculator

Model monthly recurring revenue (MRR), annual recurring revenue (ARR), subscriber growth over time, lifetime value (LTV), and churn rate for subscription or SaaS businesses.

Last reviewed

June 23, 2026

Key Features

Projects MRR and ARR from plan price and subscriber count
Models subscriber growth rate and churn over time
Calculates LTV from ARPU and monthly churn rate
Shows revenue impact of churn vs growth rate
Useful for SaaS founders, PMs, and early-stage business planning

How to Use Subscription Revenue Calculator

1Enter your monthly plan price and current subscriber count.
2Set monthly growth rate and monthly churn rate.
3Run the projection and review MRR, ARR, and subscriber growth over time.
4Use the LTV and churn numbers to evaluate pricing and retention strategy.

Early SaaS planning example

A tool at PKR 2,000/month with 50 subscribers has PKR 100,000 MRR. At 5% monthly growth and 3% monthly churn, the projector shows the revenue trajectory — helping evaluate whether the business grows sustainably or is eroded by churn.

How It Works

MRR = subscribers × monthly price. ARR = MRR × 12. LTV = ARPU / monthly churn rate. Growth projections apply compounding monthly growth and churn to the subscriber base over the selected time period.

Privacy Notes

Revenue and subscriber data are processed in the browser. No business data is submitted to a server.

Limitations

This is a simplified projection model. Real subscription businesses have variable churn by cohort, multiple pricing tiers, upgrades, downgrades, and annual vs monthly billing differences. Use this for early-stage planning and graduate to a detailed financial model as the business grows.

Frequently Asked Questions

MRR calculator

About Subscription Revenue Calculator

Model monthly recurring revenue (MRR), annual recurring revenue (ARR), subscriber growth over time, lifetime value (LTV), and churn rate for subscription or SaaS businesses.

Last reviewed

June 23, 2026

Key Features

Projects MRR and ARR from plan price and subscriber count
Models subscriber growth rate and churn over time
Calculates LTV from ARPU and monthly churn rate
Shows revenue impact of churn vs growth rate
Useful for SaaS founders, PMs, and early-stage business planning

How to Use Subscription Revenue Calculator

1Enter your monthly plan price and current subscriber count.
2Set monthly growth rate and monthly churn rate.
3Run the projection and review MRR, ARR, and subscriber growth over time.
4Use the LTV and churn numbers to evaluate pricing and retention strategy.

Early SaaS planning example

How It Works

Privacy Notes

Revenue and subscriber data are processed in the browser. No business data is submitted to a server.

Subscription Revenue Calculator

About Subscription Revenue Calculator

Key Features

How to Use Subscription Revenue Calculator

Early SaaS planning example

How It Works

Privacy Notes

Limitations

Frequently Asked Questions

1What is MRR?

2What is the difference between MRR and ARR?

3What is churn rate?

4What is LTV?

5What is a good monthly churn rate for a SaaS business?

Subscription Revenue Calculator

About Subscription Revenue Calculator

Key Features

How to Use Subscription Revenue Calculator

Early SaaS planning example

How It Works

Privacy Notes

Limitations

Frequently Asked Questions

1What is MRR?

2What is the difference between MRR and ARR?

3What is churn rate?

4What is LTV?

5What is a good monthly churn rate for a SaaS business?